Business Management Skills Written Assignment | DIPMB3_AS_v2

This document is the Business Management Skills Written Assignment for DIPMB3_AS_v2. It covers the case study of Capital City Finance and Mortgage Brokers (CCF & MB) and tasks related to business management skills. The document provides instructions for completing and submitting the assignment, along with information about the study plan, word count, additional research, and grading process. The assignment assesses the competency of the students in identifying risk, growing the practice, managing people performance, showing leadership, and assessing risks. The document also includes profiles of the CCF & MB team, their panelled lenders, and their vision, mission, and values.

Written Assignment
Business Management Skills
(DIPMB3_AS_v2)
Student identification (student to complete)
Please complete the fields shaded grey.
Student number 10292967
Written Assignment result (assessor to complete)
Result — first submission (Details for each activity are shown in the table below)
Not Yet Competent
Parts that must be resubmitted:
3, 5 & 6
Result — resubmission (if applicable)
Result summary (assessor to complete)
First submission Resubmission (if required)
Task 1 Demonstrated Demonstrated
Task 2 Demonstrated Demonstrated
Task 3 Not yet demonstrated Not yet demonstrated
Task 4 Demonstrated Demonstrated
Task 5 Not yet demonstrated Not yet demonstrated
Task 6 Not yet demonstrated Not yet demonstrated
Feedback (assessor to complete)
Fair work for the first attempt and to finalise this assignment, please review the feedback for Tasks 3, 5 & 6
and then resubmit for further assessment.
You might also like to review the feedback for Tasks 1, 2 and 4 as well but you do not have to resubmit
these Tasks.
DIPMB3_AS_v2

Before you begin
Read everything in this document before you start your written assignment for Business Management Skills
(DIPMB3_AS_v2).
About this document
This document includes the following parts:
• Instructions for completing and submitting this assignment
• CCF & MB case study and tasks covering Business Management Skills:
• Task 1 — Developing and nurturing relationships with clients, other professionals and third-party referrers
• Task 2 — Growing the business
• Task 3 — Identifying risk and applying risk management processes
• Task 4— Improving the business
• Task 5 —Managing people performance
• Task 6 — Showing leadership in the workplace
How to use the study plan
We recommend that you use the study plan for this subject to help you manage your time to complete
the assignment within your enrolment period. Your study plan is in the KapLearn Business Management
Skills (DIPMB3v2) subject room.
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Instructions for completing and submitting this written
assignment
Saving your work
Download this document to your desktop, type your answers in the spaces provided and save your work
regularly.
• Use the template provided, as other formats will not be accepted for these assignments.
• Name your file as follows: Studentnumber_SubjectCode_Assignment_versionnumber_Submissionnumber
(e.g. 12345678_DIPMB3_AS_v2_Submission1).
• Include your student ID on the first page of the assignment.
Before you submit your work, please do a spell check and proofread your work to ensure that everything is
clear and unambiguous.
Submitting the written assignment
Only Microsoft Office compatible written assignments submitted in the template file will be accepted for
marking by Kaplan Professional Education. You need to save and submit this entire document.
Do not remove any sections of the document.
Do not save your completed assignment as a PDF.
The written assignment must be completed before submitting it to Kaplan Professional Education.
Incomplete written assignments will be returned to you unmarked.
The maximum file size is 20MB for the Written and Oral Assignment. Once you submit your written
assignment for marking you will be unable to make any further changes to it.
You are able to submit your written assignment earlier than the deadline if you are confident you have
completed all parts and have prepared a quality submission.
Please refer to the Assignment submission/resubmission instructions (pdf) in the Assessment section of
KapLearn for details on how to submit your written assignment.
Your written assignment and oral assignment must be submitted together on or before your due date.
Please check KapLearn for the due date.
The written assignment marking process
You have 12 weeks from the date of your enrolment in this subject to submit your completed assignment.
If you reach the end of your initial enrolment period and have been deemed Not Yet Competent in one or
more assessment items, then an additional 4 weeks will be granted, provided you attempted all assessment
tasks during the initial enrolment period.
Your assessor will mark your written and oral assignment and return it to you in the Business Management
Skills (DIPMB3v2) subject room in KapLearn under the ‘Assessment’ tab.
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Word count
The word count shown with each question is indicative only. You will not be penalised for exceeding
the suggested word count. Please do not include additional information which is outside the scope of
the question.
Additional research
When completing this assignment, assumptions are permitted although they must not be in conflict with
the information provided in the Case Study.
You may also be required to source additional information from other organisations in the finance industry
to find the right products or services to meet your client’s requirements, or to calculate any service fees
that may be applicable.
Make a reasonable attempt
You must demonstrate that you have made a reasonable attempt to answer all of the questions in
your written assignment. Failure to do so will mean that your assignment will not be accepted for marking;
therefore you will not receive the benefit of feedback on your submission.
If you do not meet these requirements, you will be notified. You will then have until your submission
deadline to submit your completed written and oral assignment.
How your written assignment is graded
Assignment tasks are used to determine your ‘competence’ in demonstrating the required knowledge
and/or skills for each subject. As a result, you will be graded as either competent or not yet competent.
Your assessor will follow the below process when marking your written assignment:
• Assess your responses to each question, and sub-parts if applicable, and then determine whether you
have demonstrated competence in each question.
• Determine if, on a holistic basis, your responses to the questions have demonstrated overall
competence.
You must be deemed competent in all assessment items in order to be awarded your qualification,
including demonstrating competency in:
• all of the exam questions
• the written and oral assignment.
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‘Not yet competent’ and resubmissions
Should sections of your assignment be marked as ‘not yet competent’ you will be given an additional
opportunity to amend your responses so that you can demonstrate your competency to the required level.
You must address the assessor’s feedback in your amended responses. You only need amend those sections
where the assessor has determined you are ‘not yet competent’.
Make changes to your original submission. Use a different text colour for your resubmission. Your assessor
will be in a better position to gauge the quality and nature of your changes. Ensure you leave your first
assessor’s comments in your assignment, so your second assessor can see the instructions that were
originally provided for you. Do not change any comments made by a Kaplan assessor.
Units of competency
This written assignment is your opportunity to demonstrate your competency against these units:
Unit code Unit name
BSBRSK401 Identify risk and apply risk management processes
FNSPRM603 Grow the practice
BSBMGT502 Manage people performance
BSBMGT401 Show leadership in the workplace
FNSRSK502 Assess risks
Note that the Written and Oral Assignment is one of two assessments required to meet the requirements
of the units of competency.
We are here to help
If you have any questions about this written assignment you can post your query at the ‘Ask your Tutor’
forum in your subject room. You can expect an answer within 24 hours of your posting from one of our
technical advisers or student support staff.
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Capital City Finance and Mortgage Brokers (CCF & MB)
George and Mildred are very happy with the way you service your clients and are sure that you are a good
fit for the team. They now want you to turn your focus to your primary task, which is to assist in expanding
the business by building relationships with selected real estate agents, accountants and legal firms through
strategic alliances. They also want you to consider how CCF & MB can consolidate its relationships with its
existing strategic partners.
Let’s recap on what you already know about Capital City Finance and Mortgage Brokers (CCF & MB).
It’s a family owned business providing a range of mortgage and finance broking services to the business and
private sectors, with experience in all facets of finance and insurance, providing expert advice covering a
multitude of products and options existing within the market.
CCF & MB specialises in home loans, commercial lending, business lending, personal and motor vehicle
finance and insurance (life and general), and focuses on helping clients find the finance service suited to
their individual circumstances.
It provides its services through its association with the following partners:
• Australian Aggregators: a rising company within the aggregation business, with an extensive panel of
residential and commercial lenders, and asset finance.
• ABC General Insurance: a boutique insurance company specialising in a full range of general insurances.
• XYZ Life: a small family-owned insurance brokerage specialising in the full range of life insurance
products.
Based in the city, CCF & MB has the capacity to service clients from their office or anywhere at their clients’
convenience through its team of mobile brokers.
CCF & MB does not hold a credit license but operates as a credit representative of Australian Aggregators.
Since its inception 13 years ago, CCF & MB has built a loan book of almost $1.2 billion and averages over
$120 million in new loans annually.
CCF & MB’s vision is to be the mortgage and finance broker of choice in the greater metropolitan area.
CCF & MB’s mission statement is: ‘to operate professionally in accordance with legislation, our licence and
professional standards’.
CCF & MB’s values are as follows:
• to act with honesty and integrity at all times
• to provide unbiased advice and conduct business, free from any conflict of interest
• to maintain confidentiality in all dealings
• to meet all NCCP regulatory requirements
• to comply with all mortgage industry laws and regulations
• to ensure quality and efficiency in its loan processes.
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CCF & MB’s people
CCF & MB is owned by husband and wife, George and Mildred Spencer.
With over 35 years experience in finance and business ownership, George established and built a successful
business dedicated to assisting clients with managing their finances effectively. Starting the business with
his wife Mildred 13 years ago, George gained immense satisfaction in seeing it expand, to service more and
more clients across the city and greater metropolitan area. Although in recent years he has stepped back
from dealing directly with clients, he still maintains a small select clientele. He also takes great pride in
training and mentoring his team to enhance their performance.
Mildred has over 22 years of lending experience and is qualified, not only to assist her clients with their
mortgage requirements, but also to assist them with their commercial finance requirements. She also holds
financial planning qualifications. She specialises in asset finance.
The company has a small team of five additional consultants and two administration staff members.
Profiles for the team are as follows:
• Jennifer Dee is recognised as one of the top female brokers in Australia. She has been in the broking
industry for over 10 years and has a passion and dedication to assist and accommodate all of her clients’
needs with their financial dreams. Jennifer is an Accredited Mortgage Consultant with the Mortgage and
Finance Association of Australia (MFAA).
• Louise Spencer (George and Mildred’s eldest daughter) is an Accredited Mortgage Consultant with the
Mortgage and Finance Association of Australia (MFAA) and has been working as a loan consultant for
almost two years. Louise started off in the lending industry in the office as an administrator to gain as
much experience and knowledge as possible before taking a broking role. Her passion for helping her
clients ensures that she is always available to her clients at a time and place convenient for them.
• Michael Spencer is George’s younger brother and is CCF & MB’s equipment finance specialist. He has
over 25 years working in the equipment finance industry. He has developed an in-depth understanding
of the transport and agricultural industries, and also provides finance for general equipment,
motor vehicles and computer equipment.
• Martin Long has specialised in equipment finance for the last three years, but prior to this he spent
five years operating his own retail food business. This practical experience allows him to see things from
his client’s point of view, including experience with equipment finance. He specialises in plant and
equipment in the machinery, woodworking and packaging industries. Examples of some of the
equipment he has financed are farm machinery, extrusion lines, plastic injection moulders,
commercial catering equipment, woodworking plant, packaging lines, forklifts, office fit-outs and many
different motor vehicles.
• Luis Ramirez migrated to Australia as a young boy; 25 years ago with his family. After completing
high school he graduated from university with an accounting degree and worked in ANZ in commercial
lending. He joined CCF & MB four years ago and specialises in vehicle and capital equipment financing.
He provides ITC and general equipment lease funding options for clients. By providing better outcomes,
both during and at the end of their equipment leases, Luis’ many clients have been able to reduce costs
and maximise the value of their available budgets.
CCF & MB is a member of the MFAA, as a broking business dealing directly with the public. Both George
and Mildred are fellows of the MFAA. CCF & MB is also a corporate member of the FBAA.
All staff members, including consultants, are paid an annual salary plus superannuation. Consultants also
receive a car allowance plus a percentage of trail commissions, which are paid quarterly based on their
performance targets.
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CCF & MB’s panelled lenders
With access to an extensive panel of lenders, CCF & MB can meet most clients’ expectations.
Residential lenders are listed in the following table.
Adelaide Bank Homeloans Limited Pepper Home Loans
AMP Homeside Phoenix-Circle Credit Union
ANZ ING Direct PLAN Lending
Australian Financial Keystart PN Bank
Australian First Mortgage La Trobe Resi
Bank of Melbourne Liberty Financial St George Bank
BankSA Macquarie Suncorp
Bankwest ME Bank The Rock Building Society
Bluestone Mortgage Mart Westpac
Citibank NAB Wide Bay Australia Ltd
Commonwealth Bank Newcastle Permanent
Heritage Bank Peoples Choice Credit Union
Commercial lenders and asset finance providers are listed in the following table.
Adelaide Bank Commercial Bibby Financial Services Pty Ltd Liberty Financial Commercial
ANZ Commercial Commonwealth Bank Commercial NAB Commercial
Australian First Mortgage Commercial IMB Commercial St George Commercial
Bank SA Commercial ING Direct Commercial Suncorp Commercial
Bankwest Business Banking LaTrobe Commercial Westpac Commercial
Adelaide Bank Commercial Macquarie Leasing Westpac Equipment Finance
ANZ Asset Finance Commonwealth Bank Asset Finance Liberty Asset Finance
Future developments
George and Mildred are very keen to expand and grow their business and are in the process of speaking
with a number of real estate agents, accountants and legal firms with a view to forming strategic alliances.
Due to the expected increase in business, George and Mildred are seeking to employ another consultant to
take on the extra work. This person will be required to:
• build strategic relationships with a number of real estate agents, accountants and legal firms already
identified
• identify and foster relationships with other real estate agents, accountants and legal firms
• provide finance and mortgage broking services to new clients identified through these strategic alliances.
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Business management skills
Task 1 — Developing and nurturing relationships with clients,
other professionals and third-party referrers
George and Mildred now require you to write a plan to assist in developing and nurturing relationships
with clients, other professionals and third-party referrers.
Your plan should address the following:
1. How CCF & MB’s policies and procedures and legislative, regulatory and professional codes of practice
impact on developing and nurturing relationships.
2. How you would use CCF & MB’s social, business and ethical standards to develop and maintain positive
relationships.
3. The importance of confidentiality and how you would maintain it in your dealings with colleagues,
clients and other parties.
4. How you would adjust your interpersonal style to the needs and situation of other parties.
5. How you would go about developing and maintaining business and professional networks and other
relationships to benefit the organisation; and how you would use them to identify and cultivate
relationships in order to promote and market the organisation.
6. How you could use and cooperate with other professionals and third parties to expand and enhance the
reputation of the organisation, and to identify new and improved business practices.
7. How you would build referral business through appropriate communication channels, to find and secure
new business relationships.
8. How you would identify referral needs and provide information about CCF & MB’s relevant products
and services.
9. How you would secure interviews with referral business so that the needs of clients can be met.
(1,000 words)
You may use any format for your plan but you are not permitted to simply answer the points above. If you
are unsure as to how to write a plan, you can refer to the Business Growth and Marketing topic and use the
suggested SMEAC format outlined in Part 6, Section 13. Remember also the SMART principles.
When completing this task, assumptions are permitted although they must not be in conflict with the
information provided in the background information.
Student response to Task 1
The CCF&MB needs to adhere to social, legislative and regulatory framework so that appropriate
relationship can be nurtured and maintained with the clients. The are certain legislative code and
regulations which are applicable to CCF&MB and if the same are properly followed by CCF&MB than the
same would lead to better development of relations in the business. Some of the legislations and
regulations are listed below:
National Credit Code
As per section 9A of National Credit Code (NCC), the company needs to maintain a register of referrers with
the company is in agreement and it also needs to get the referral agreement signed when they are trying to
set up the referral agreement. This agreement is crucial as the same would be including discussion about
fess and benefits and all other commercial details which is related to the referrer. The referral register
needs to depict the name and contact details of the referrer, date and method of setting up an agreement.
In addition to this, the referral source and the first referral are also presented in the referral register.
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The rules which are set out by NCC also states that contact needs to be made with the referred customer
within a period of 10 business days. These referrals made to CCF&MB are important processes for
maintaining and nurturing relations with clients.
Australian Consumer Law
The main purpose of establishing the Australian Consumer law is to ensure that there is a fair and ethical
competition in the market is maintained and consumers are protected from malpractices of businesses. The
law applies to CCF&MB which implies that that the business should not engage in any activity which might
be unethical or misleading or deceptive. The Australia Consumer law clearly states the consumers should
not be harassed in any manner and effective sprit of competition needs to be maintained. The business of
CCF&MB needs to adhere to this code and thereby ensure that the needs of the consumers are met.
Code of Conduct and Practice
The management of CCF&MB needs to follow an established set of practices and conduct for developing
relations with the clients. The CCF&MB need to have a minimum standard and efficient training for the
employees so that the business can efficiently meet the standards of the clients and maintain an healthy
working environment.
The Anti Money Laundering and Counter Terrorism Financing
AML/CTF Act is an important act for businesses which are operating within the financial sector and
therefore appropriate adherence needs to be placed on such provisions by CCF&MB. These regulations
protect the clients from illegal practices. The obligations which are applicable on the business of CCF&MB
are listed below in point form:
 Conducting due diligence in conducting the activities of the business.
 Any suspicious activities or transactions needs to be checked carefully and if situation requires the
same is to be reported as well.
 Adequate records are to be maintained by CCF&MB so that proper scrutiny of the same can be
done at regular intervals.
If the business of CCF&MB follows such regulations, it would be able to build strong personal relations
Anti-discrimination legislation
The above legislation is specifically imposed for the purpose of prohibiting any kind of discrimination which
is based on race, caste, creed, gender, colour, sexual preference, age, religion and belief. This legislation
states that CCF&MB needs to build relations with members of groups and clients. These are important to
be followed for building relations.
Privacy Legislations
The privacy and confidentiality of the referral partners needs to be protected which is regulated by privacy
act 1988. The act specially states businesses to maintain, collect and store information of the client
securely. CFF & MB can develop a referral process which includes a confirmation from the referral partner
to say that the client’s approval being obtained. The client files needs to protected with the help of
passwords so that appropriate data can be stored by the business.
In order to adjust to interpersonal style to the needs to situation of the other parties the following steps
can be followed by personnel:
The business needs to develop a rapport with the clients. In order to achieve this, the business should be
communicating and build relations with the client in such a manner that they are influenced. The last stage
is the stage where I can put emphasis on work collaboration.
At CCF&MB, the business is quite diverse as we have residential lending, commercial lending, motor finance
and insurance scheme. We are continuously engaged in our activities and also ensure that we can get some
referrals for building up our business. In internal network plan, cross training programs are efficient ways to
gather information and option appropriate knowledge regarding the product and help different employees
of different sections to identify referral options. In case of external network plan, we will be developing
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relations with professional organizations with whom we will be working closely. We will be involving local
schools, corporate houses so that the message is passed that CCF&MB can help in fulfilling objectives of
clients seeking financial advisers.
CCF&MB would be relying on quality services for enhancing the reputation of the business. Quality services
would also bring about more referrals. The business can also enter into agreements with professionals for
proper promotion of the business. I would be also recommending that CCF&MB need to create its own
linkedin account so that information regarding the professional services can be shared from such a source.
This can also turn out to be an efficient method for enhancing the reputation and client base of CCF&MB.
I believe that the people needs to know that at CCF&MB what services we provide and therefore
communication needs to made appropriately. The clients who are currently be handled by the company are
important sources as they spread the news more effective regarding the nature of the business and then
they also refer to family members. The moves which CCF&MB needs to engage in is to send text messages,
emails to past clients, new clients, potential clients for communicating the services which is provided by
CCF&MB. An opinion of a person is the best form of referral and the same can only be done by a present
client.
The identification of the referral needs of referral partners and updating them is an important aspect of the
business. For establishing this, regular contact with the partners need to be established. This will ensure
our referral partners are aware about what is happening in lending market.
Assessor feedback for Task 1: Resubmission required?
A simple structured, relatively well thought out Plan and you have
demonstrated that you are competent regarding this Task. You just spent to
much time on the legislative and regulatory requirements.
No
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Task 2 — Growing the business
Having considered how you would go about building and nurturing relationships, George and Mildred now
require you to turn your attention to marketing and promoting CCF & MB’s business. This requires you to
develop a marketing plan for the business.
In developing your marketing plan you should consider the following:
1. Your plan should be developed in line with CCF & MB’s vision statement.
2. The identification of target markets, using a combination of research and your own personal experience.
3. The identification of your major competitors (at least two) with a competitor analysis developed for
each competitor.
4. The identification of CCF & MB’s market position, based on your research findings and analysis.
5. How you would promote CCF & MB’s brand and the tools you would use to achieve this.
6. The provision of options for increasing yield per existing client.
7. How you would implement your plan and monitor it to ensure objectives/goals/performance indicators
are being met.
8. How you would adjust your plan if required.
(1,000 words)
You may use any format for your plan but you are not permitted to simply answer the points above. If you
are unsure as to how to write a plan, you can refer to the Business Growth and Marketing topic and use the
suggested SMEAC format outlined in Part 6, Section 13. Remember also the SMART principles.
When completing this task, assumptions are permitted although they must not be in conflict with the
information provided in the background information.
Student response to Task 2
The business of CCF&MB had started around 13 years ago and has grown to build of a loan book of
appropriately $ 1.2 billion with new loans averaging $ 120 million yearly. The marketing plan which I would
be developing are structured and shown below in details:
Vision Statement: The vision of the company is to be the preferred choice in mortgage and finance
brokering in the greater metropolitan areas and attract more and more clients in the area.
Mission Statement: The mission for the company is to operate efficiently and professional in accordance
with legislations, license for operating and professional standards.
The goals which are considered by the organization are listed below:
 To offer the best services and affordable mortgage and finance broker services in the area.
 To attract more clients to the business and attract over 500 clients through the referral programs.
 The business aims to attain a client base of 2000 clients annually.
 The business wants to partner with 15 more lenders in the next four-year period to create a better
borrowing capacity for the company.
The mortgage and brokering marketing has grown significantly and this is the main reason due to which
businesses and individuals can access loans more freely for the purpose of acquiring properties and
premises with the help of mortgages. There are many deals which are available in the market and some of
the same are not appropriate. The business of CFF & MB has been growing significantly over the years and
is determined to acquire shares in the mortgage industry. Mortgages are currently available for residential
loans, commercial property loans, and investment loans.
The client base which is constituted in CFF & MB are under three classifications which are the clients wants
to purchase their own houses, clients who wants to purchase rental property and clients who are looking
for expansion of their business. In most cases, the clients are after mortgages for purchasing houses which
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can be used for residential purpose. Most of the clients are not preferring rental properties due to the high
soaring rents which is a common factor in developing cities. Even the younger generation are keen on
having their own houses for residential purposes which is fully under their ownership.
This is the primary reason for the flourish of the real estate market as the profits are continuously flowing
in for the businesses. The population in areas are also on the rise so naturally demand for residential
property has increased which has attracted more investors in the market. The mortgage businesses like CFF
& MB would in such a situation have access to steady flow of clients who would be willing to avail such
services.
The governments are also playing an important role in encouraging private investors to invest in facilities
which would enhance the process of job creation. The major obstacle for private investors organization and
new start ups is the lack of appropriate funds which makes lending option the most viable source for funds.
Mortgage option would provide better chances for start up investors and also help in getting more clients
and client referrals.
The main competitors for CFF & MB which can be identified are Australian Finance Group (AFG) and
Mortgage Choice. The AFG have 20% share of the market making them the biggest mortgage lender in
Australia while Mortgage Choice accounts for 17% of the market share. The business of Mortgage Choice
have access to a larger client base as compared to v CFF & MB while on the other hand Australian Finance
group have the businesses of larger players and fund the operations of such firms.
As per current estimates the mortgage industry which s operating in Australia is estimated to be $ 2 billion.
CFF & MB alone provide loans of about $ 120 million which is equal to 12% of the total market share. The
business can acquire even a larger estate if the business follows target market indication. The role which I
would be playing will be to assist the partners in securing more clients and expanding the operations of the
business.
One of the ways which I would be following to expand the operations of the business is by application of
promotional tools like advertisement, personal selling and efficient marketing so that appropriate audience
can be attracted. The application of social media accounts such as linkedin, facebook can effective spread
the words in mortgage broking forums.
an attempt to increase yield per existing client, I will provide several options to retain them. This method
includes constantly enhancing the quality of the mortgage service, calling on clients to ensure they are
content with the services, replying to client requests and complaints promptly and expertly.
Table 2: Implementing the Plan.
Situation
Mission My mission is to develop a marketing plan that will enable the
firm to increase its share of the market.
Execution
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Assessor feedback for Task 2: Resubmission required?
A well thought out Marketing Plan and you have demonstrated that you are
competent regarding this Task
No
Page 14 of 35

Task 3 — Identifying risk and applying risk management processes
George and Mildred have become very concerned about the potential risks that could jeopardise
CCF & MB’s business operations. They were very impressed with your growth and marketing plans for
CCF & MB so they have now moved you into more of a general manager’s role with expanded
responsibilities, including managing CCF & MB’s risk. As part of your new responsibilities you are required
to develop a risk management plan.
In producing this plan you are required to:
1. establish the context for CCF & MB’s risk management plan
2. list and explain the tools you will use in assessing the risks you identify
3. identify the stakeholders you would consult in establishing context and the tools you would use in
identifying CCF & MB’s risks
4. identify at least two risks that CCF & MB could face for each of the six categories of business risk
including strategic risks, compliance risks, financial risk, operational risks, market and environmental
risks and reputational risks with an appropriate risk statement for each identified risk
5. conduct a risk analysis and risk evaluation for the risks you have identified
6. identify treatments for them
7. how you will monitor and review them in your risk management plan.
When you are defining the risk criteria you intend to use you are required to create your own risk matrix to
address likelihood and consequence.
Document your risk treatment plan using a risk register.
You may make any assumptions in producing your plan but these should be documented either in the body
of your plan or separately before you produce it. You are not permitted to simply answer the points
detailed above.
(1,000 words)
Student response to Task 3
Risk management process in which the management of the company effectively identifies the risks of the
organization for effective management of the resources of the business and thereby formulate plans for
minimizing the risks of the business. An appropriate risk management strategy would provide help
businesses to categorize risks and set up strategies for minimizing the same. It is important from the
perspective of the management to evaluate the plans which is formulated by the business and ensure that
the same is still relevant to the risks of the business.
The risk management strategies for CCF & MB are formulated in such a manner that company can serve
effectively the clients. An instance of a situation where the business of CCF & MB faces a risk is related to
interest rate rise which would attract fewer clients to avail loan from mortgages.
I would be assessing the risks of the business with the intention of identifying, evaluation of the risks of the
business which would then allow the management to effectively minimize the risks of the business. In order
to effective assess and manage the risks of the business, I would be developing risk action plan so that
management can effectively assess the risks of the business.
Potential Business Risks
Some of the potential risks which might be faced by CFF&MB are provided below in details considering the
nature of the risk
1. Strategic Risks
 New Regulations which are brought about in the mortgage brokerage industry can affect the
operations of the business.
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 The online mortgage businesses are another threat and they are entering the market which can
affect the flow of business.
2. Compliance Risks
 This covers the risks which are associated with compliance requirements of businesses as per the
regulations which are brought about in the business.
 Australian Credit Licence Holder has their own compliance requirements which needs to be
considered for assessing risks associated with the same.
3. Financial Risks
 The major risks which can be identified in terms of financial co text is that the business can be
charged with damage claims from the client in vase of wrong advise, or delay in processing and
implementing the plans.
 There is a risks that the business might lose out clients and also commissions from them for the
services provided.
4. Operational Risks
 The turnover of the staff operating with the business is also a major concern for mortgage
brokering business.
 In ability to maintain the records of the clients and their privacy can be a serious risk factor for the
business.
5. Market and Environmental Risks
 The major risks which a business faces in this context is from a natural disaster which can severly
affect the operations of the business.
 Another major risks which can be identified is financial collapse of the market which would affect
the business and lead to increase in unemployment.
6. Reputational Risks
 Failure to provide good quality services to clients which can affect the reputation of the business.
 Unfriendly behaviour with the clients can lead to loss of reputation status of the business.
Risk Analysis and Evaluation
The risks which are associated with the business are generally measured considering two dimensions which
are the likelihood of the risk event and the extent of the consequence if a risk event occurs.
Likelihood Matrix
Level Rating Descriptions Probability
A Almost Certain A delay in the processing of the
settlement due to some error
on the part of the business.
>90%
B Likely Unavailability of Proper
documents for verification
from the client
60%-90%
C Probable Inability to verify the
information of the client as the
client is not providing
appropriate documents
10%-50%
D Unlikely Effects of Global or Financial
Crisis
5%-10%
E Rare Major Natural Disaster <5%
Page 16 of 35

impacting the continuity of the
business.
Consequence Matrix
Rating Description
Catastrophic In this scenario, business objectives are not
achieved. Loss of Business
Major Impact on the profitability of the business and
inability of the business to achieve business
objectives
Moderate Some major impact on the business and some
business objectives are not achieved.
Minor Minor impacts on the business which can be set
right by the business.
Insignificant Not a major impact or a negligible impact.
Risk Rating Matrix
Consequence
Risk Rating Months
M Jan M Feb M Mar M April
Catastrophic Tolerable High Very High Very High Very High
Major Low Tolerable High Very High Very High
Moderate Low Low Tolerable High High
Minor Very Low Low Tolerable Tolerable High
Insignificant Very Low Very Low Low Tolerable Tolerable
Likelihood
Risk Action plans will be created and implemented to manage any risks identified however the plans which
are formulated would differ depending on the department with which the risk is concerned. The different
strategies which can be adopted to manage the risks of the business are discussed below:
Risk prevention is a strategy which is formulated to eliminate the risk from occurring while risk avoidance is
similar to risk prevention but the adoption of a risk avoidance strategy would be costlier than risk
prevention strategy but the same would definitely be more effective for the business. Some strategies for
this category include operations review, alternative approach, process changes and preventive
maintenance.
Risk Mitigation is a strategy which is developed to minimize the effect or impact of the risks. The main aim
of this strategy is to effectively manage the high level and medium level risks of the business which can do
Page 17 of 35

maximum damage to a business. Some of the strategies which are followed in such an approach are
contingency plan, quality of work, audits and disaster recovery.
Risk Sharing is another strategy which is applied by the management of businesses which involves sharing
of risks with other organization so that the effect of risks is minimized for the business. This is a common
practice which is followed by many organization for the purpose of minimizing the effect of the risks on the
business as a whole.
Risk retention is another strategy which is followed by businesses in which the risks have to be managed by
the firm. This option is a last resort and is considered to be expensive for organization and it is especially
hard in a competitive market situation. In case of some businesses, high risk is just a part of the business
operations and they are not considered much and only the rewards which are associated with the same are
considered. These firms appoint proper experts to effectively manage the risks of the business and ensure
that the same can affect the business in least manner.
Risk action plans which will be implemented to address the risks which are identified are considered to be a
part of the project itself and needs to be managed by the project manager as a normal activity. A risk action
plan would provide:
 Objectives for the plans
 Responsibilities of the management
 Effective control over the resources of the business.
 Schedule for implementing the action plans formulated by the business.
 Impact on the schedule of the project
 Progress or status for monitoring and reporting for the risks
 Assistance required for the problem resolution.
Treatment of Risks for CCF & MB
Risk Identification Risk Treatment
Event Action Plan Risk Owner Resolve
date
Interest Rate
fluctuation
Mitigate
Implement an alternative
approach
 enhance the
presentability
of the
mortgage
product.
 Add new
coverage and
features for
the client so
that interest
rate cannot
affect the
same.
Managing
Director
31/03/2019
Implement a succession
plan.
 Establish a
Page 18 of 35

Domestic or Global
Financial crisis Reduce
proper strategic
plan for the
business.
 Attract the client
base with
attractive rates
Managing
Director
30/04/2019
Risk associated with
client who are not
provide appropriate
information
Avoid
Implement a proper
identification process
 The
management
needs to set up a
proper
identification of
the clients.
 Ensure that the
clients meet the
necessary
standards which
is the business
follows.
Mortgage
broker and
Asset Finance
specialist.
On going
Monitoring of Risks
The management of CCF & MB needs to appoint personnel who are expert in identifying and monitoring
of risks of the business. The risks can be managed and monitored by following an operational review of
the plans at all levels. The risks once identified needs to be managed immediately by the management of
the company. The management of the company can apply risk registry as a tool for identifying new risks
and also assessing existing risks which might affect the business.
Assessor feedback for Task 3: Resubmission
required?
On the right track but as this Task is set at Diploma level, there is insufficient analysis and
or detail to determine if you are competent in regards to this Task.
You are to develop a documented Risk Management Plan for your employer. In this Plan
you are instructed, as a minimum, to include seven (7) specific sections and told when
defining the risk criteria you intend to use, you are required to create their own risk
matrix to address likelihood and consequence. Like the one in topic 2.2, section 3.2 –
Categorising Risk
Finally, you are instructed to document your risk treatment plan using a risk register and
Yes
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that the word count is 1,000 words. Do not be worried should you over the word count.
(Hint – when you finish your resubmission, pretend you are Martin Long from CCF&MB
and would he understand the risks you have identified and the impact on the business).
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Task 4— Improving the business
Over the last few months business for CCF & MB has been very good with a number of new clients coming
on board as a result of implementing your business growth and marketing plans. However, neither you or
the business owners are satisfied with maintaining the status quo; as you and they are committed to a
program of continuous improvement.
You all feel that CCF & MB’s competitive advantage needs to be strengthened and a SWOT should be
undertaken to establish CCF & MB’s strengths and weaknesses including benchmarking the business against
the industry. You now decide that you will carry out a diagnosis of the business including a SWOT analysis
and a benchmarking exercise to improve CCF &MB’s competitive advantage and its business. You are to
produce a document covering your diagnosis, which will be distributed amongst CCF & MB’s key personnel.
As a minimum, your document should cover the following:
1. The data you have used as part of your diagnosis to identify CCF & MB’s competitive advantage.
2. A SWOT analysis to identify CCF & MB’s strengths and weaknesses, its threats and opportunities.
3. How you identified and sourced relevant benchmarking data.
4. How you selected the key indicators (and who you consulted with) for your benchmarking exercise.
5. A consolidated list of the areas for improvement you have identified with a cost-benefit ratio
established for each of them.
6. Recommendations on the changes that may be required that will affect existing workflows or
CCF & MB’s organisational structure
7. A high-level action plan that will implement and monitor the recommended changes to be made.
In addition to the material on your Part 2 learning guides, the following link gives you access to a
step-by-step guide to benchmarking and determining competitive advantage:
<http://www.business.vic.gov.au/marketing-sales-and-online/increasing-sales-through-marketing/
benchmark-your-business>
(1,000 words)
Student response to Task 4
Competitive advantage provides an edge to businesses to effectively compete against the competitors of
the business. In the case of CCF & MB, the ability of the business to create greater value for the
stakeholders can be considered as a means for creating competitive advantage for the business. One of the
mean through which the management of CCF & MB can gain competitive advantage is by following a lower
cost model or by attracting more clients for the business. The data which is used for identifying the data
relating to competitive advantage for a business are given below:
 Business Structure of CCF & MB: The business is family owned and has operated for more than 13
years and the owners of the business are financial experts which makes the operations of the
business more viable. The business has appointed consultant and staff.
 Business Environment: The business of CCF & MB is currently involved in lending business for
clients. The business environment CCF&MB involves is constantly changing but growing. The
competitive advantage for the business needs to be developed considering such an aspect as well.
 Economic Conditions: The economic conditions both domestic and global have direct impact on the
revenue which is generated by the business. Economic growth aspect needs to be considered by
the management of the company before appropriate decisions can be taken by the management of
the company regarding development of competitive advantage. The six kinds of competitive
advantages which can be developed for the business are listed below as per my opinion:
 Cost or price
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• Differentiation
• Focus
• Execution
• Knowledge
• Manoeuvrability.
The above mention factors are competitive advantage which can be developed for the business of CCF &
MB for effective enhancing the operations of the business and at the same time also combating
competitors of the business.
SWOT Analysis
An analysis of the SWOT analysis of the business of CCF & MB reveals the market viability of the business
and also reveal the strength and opportunities which the business has along with the threats and
weaknesses which the business faces.
Strengths
 Effective growth rate for the business considering the current market conditions
 Experienced business units
 Reduction in the labour costs of the business and effective sales and distribution networks.
 Barriers to entry in the market which provides appropriate customer base to the management of
the company.
Weaknesses
The weaknesses which can be identified for the business of CCF & MB are listed below:
 Governmental regulations over the lending industry and their influence in their operations.
 Improper risk management for the business.
Opportunities
The opportunities which are available for the business of CCF & MB are discussed below:
 Appropriate availability of funds which can be allow businesses to lend more funds to the clients
 Growing demand for the mortgage products among the people and market growth conditions.
 Opportunity to acquire new undertaking and thereby attract the synergy effect on the operations
of the business.
Threats
The threats which can be identified for the business of CCF & MB are discussed below:
 High level of competition among the existing players in the market.
 Inadequate flow of cash for the business.
 Risks which are associated with external factors.
On the basis of the analysis which is conducted by me, I have identified two major competitors for the
business of CCF & MB which are AFG and Mortgage choice. Australia Finance Group has become one of the
largest Australia mortgage brokers in the lending industry. There offices are scattered all over the country
thus appealing to a larger population. Mortgage Choice are the third largest mortgage brokers in Australia
with over 17% of the market share. Both the competitors which I have identified for the business are
already established businesses and therefore they naturally have more experience in the market. The
would be able to handle the mortgage lending operations in an effective manner for the clients which the
management of CCF & MB needs to consider. The management of CCF & MB can effectively set
benchmarking on the policies which are followed by such competitors. Direct competitors are companies
that provides similar products, or skills and who are targeting the same group of consumers with the similar
products and skill as of the company conducting a marketing research. AFG and Mortgage Choice are direct
competitors because both companies offer our consumer consultant services on mortgage borrowing.
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The most appropriate sources for acquiring data for the business is from the data which is available for the
competitors of the business. An analysis of the competitor’s would be essential for the purpose of
ascertaining the appropriate standards for benchmarking. Some of the information can be sourced from
the following sources which are listed below:
 From professional bodies and associations, data can be collected. CCF & MB is a member of MFAA
and therefore can gather easily information required for benchmarking.
 Networking events are also common for mortgage lending businesses and therefore such are
important events for gathering information.
Key Indicators for Benchmark Consultation
 Comparison of loan products and settlement of the same on monthly basis. The loan settled for
competitors on monthly basis is an important area or indicator. As per current estimate CCF & MB
settles around 25 loans per month while its close competitors like Mortgage Choice settles around
29 to 30 loans per month.
 The financial services other than mortgage is also considered to be an indicator which can be
considered for benchmarking. CCF & MB follow a policy of offering life and general insurance
services to the clients which is not offer by other competitors and this could be a competitive
advantage for the business.
 Customers service and satisfaction is another area which can be considered as key indicator for the
business of CCF & MB as clients needs to be satisfied with the services which is provided by the
customers.
Areas which needs Improvement
Financial Planning
The financial services in relation to mortgage needs to be improved significantly and diversify so that the
business can offer similar services to the competitors. I would recommend that financial planning process
would enhance the revenue of the company along with the mortgage products which is provided by the
management of the company. In case a financial planner is appointed than there would be an increase in
the costs of the business which would affect the revenue enhancing the same if proper management of
resource is implemented.
Assumptions Net Present Value
Cost of hire a Financial Planner $100,000.00 p.a.
which includes basic, salary, superannuation and
other payments
Cost of hire a support staff/admin assistant to
Financial Planner $30,000.00 p.a. This includes,
base salary, superannuation and other costs.
Total Costs $130,000.00 p.a. ($ 100,000+$ 30,000)
Income from Financial Planning business to be:
Year 1 - $60,000.00
Home Loan referrals in Year 1 – 4 Loans converted
per month or 50 per year. Average Loan size
$400,000.00
Upfront commission 0.50%
Rate of Inflation 4%
Year 1:
Total Costs $130,000.00 p.a. ($ 100,000+$ 30,000)
Income from Financial Planning business
$50,000.00
Income from MB business 50 loans x $400,000.00
= $20,000,000.00
0.50% commission Income $100,000.00
Total Income in Year 1 = $150,000.00
Discounted income = $150,000.00/(1+0.04)^1 =
$144,230.80
Costs-Benefit in Year 1 = $144,230.80/$130,000.00
1.10
This means the business is making $1.10 for every
Page 23 of 35

dollar CCF&MB spend, this means we are making
money.
This analysis would change in the 2nd year
significantly due to the inflation rate and this
income for CCF & MB would further enhance.
Social Media Promotion and Advertisement
The social media presence is an important aspect for the business and I am of the opinion that CCF & MB
must have a company website and social media platform so that the business is able to appropriate sell its
mortgage products. A cost benefit analysis for the same is shown below:
Assumptions Net Present Value
Costs to run a social media platform and a live
website will costs $2,000.00 per month through
an external source
Current income from mortgage broker
settlements $800,000.00. This is anticipated to
grow 3% as a result of social media activates in
year 1 and so on in the 2nd year as well.
Inflation rate 4%
Year 1:
Total Costs $20,000.00 p.a. ($2,000*12)
Anticipated income increase in Year 1:
$800,000.00 x 3% = $24,000.00
Discounted income = $24,000.00/(1+0.04)^1 =
$23,076.92
Costs-Benefit in Year 1 = $23,076.92
/$20,000.00 =1.15
This means the business is gaining $1.15 for
every dollar CCF&MB spend.
The recommendation which I would be offering to CCF & MB for expanding the operations of the business
and at the same time staying competitive are given below in details:
 I would recommend the company to establish a website and social media presence so that the
operations of the business can be managed effectively. The cost benefit analysis shows that the
move would be beneficial for the business considering the assumptions.
 I would also recommend CCF & MB to extend the activities of the business to financial planning as
well as this would give them an extra earning option and the cost benefit analysis shows that the
same would be beneficial for the company.
Action Plan
The expansion plan which I am formulating would be aiming to create an environment of motivation and
which would be aiming to enhance the revenue of the business.
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Background As far as I understand, CCF & MB wants to be a one of the leading financial
planner and mortgage brokers for the business. To ensure this, the
management must appropriately meet the financial needs of the business.
Aim/purpose To expand the operations and client base of the business for the purpose of
effective revenue generation of the business. The company aims to establish
a website for the company and also social website for the business.
Detailed Instruction Financial Planning:
To achieve CCF&MB mission, it is important to have a financial planning arm
within the business. The financial planning area would appropriately
enhance the revenue of the business.
The financial planner would be such that the clients can appropriate manage
the operations of the business and quality can be managed appropriately for
the business.
To support the Financial Planner, we will recruit a qualified financial planner
assistant, who will be supporting the operations of the business.
The management also plans to establish websites and social media presence
so that more clients can be attracted to the business.
Communications Financial Planning:
The owners and the managing director will directly involve in recruitment
process and monitor the progress of finical planning arm. All the operations
of the business would be under the direct control of the managing directors
of the business including website development and social media account.
Assessor feedback for Task 4: Resubmission required?
Good work and you have demonstrated that you are competent regarding
this Task.
No
Page 25 of 35

Task 5 —Managing people performance
One of your key responsibilities as general manager is to develop and implement ways to improve the
performance of CCF & MB’s consultants and other staff members.
Answer the following questions:
1. Why is it important to consult with stakeholders when allocating work? What are the possible
consequences of allocating work without consultation?
2. Describe the process you might follow when developing quantitative and qualitative performance
criteria. You should explain how you ensure that the criteria relates to CCF & MB’s objectives and how
to motivate staff members to achieve these objectives.
3. Describe the different ways you might gather information about a staff member’s workplace
performance.
4. What are the benefits of evaluating and monitoring staff members on a continuous basis?
5. Describe how you might do this for CCF & MB.
6. Why is it important to document the performance management process? Explain the possible
consequences of not retaining appropriate records of this process.
7. How can reward and recognition influence the work output of employees? Describe non-financial ways
of motivating employees.
Your answers should be 200 words for each numbered question above.
8. Design a high-level performance management process for CCF & MB to be rolled out to all staff
members.
9. Who should you consult when designing the performance management process? List who you would
consult and the reasons why.
10. Develop a checklist for delivering regular performance appraisals, including a section for team
leaders and supervisors to complete a section for team members participating in the performance
appraisal process.
(800 words)
Martin and Luis are working together on project involving the preparation for a loan application for one of
CCF & MB’s most influential clients, a property developer. Martin missed a deadline and the whole project
is now behind schedule by a week. This is the third time in a month that he has missed a deadline.
Martin has had problems with meeting deadlines in the past and has already had a written warning.
As the general manager you have been monitoring Martin’s performance over the past month,
providing informal feedback about his role in the project. Although he has made several improvements
regarding his performance, his inability to meet deadlines has forced the delay of the client’s development
a further month. CCF & MB made a commitment to the client that the loan application would be with the
prospective lender two weeks ago.
The client is not happy that he does not yet have an approval and is considering cancelling the agreement
he has with CCF & MB and going elsewhere.
11. You have arranged to meet with Martin to talk about the project and his input. How would you go
about providing constructive feedback to Martin?
(500 words)
Page 26 of 35

Student response to Task 5
The stakeholders of the business are important constraint and their best interest are always considered
before any work is allocated within the operations of the business. The stakeholders of the business also
include employees who need to be assessed whether they have necessary skills and ability to appropriately
manage the task with quality or not. It is also necessary that the resources which is required for the tax is
adequate and meet the quality level which is required for the business. When allocating the task, it is
necessary the stakeholder have a clear understanding of the organisation goals and what the business is
expecting from them.
The possible consequences for allocating a work with consultation with stakeholders are listed below:
 The quality would hamper as it is likely that the stakeholder who is performing the work would not
have knowledge or skills for the work.
 The stakeholder might not know how to appropriately use the resources of the business and this
would make the process unproductive.
 The stakeholders who is not consulted regarding a major decision might fell left out and therefore
might also lose motivation for performing the tasks which are allocated to them. This in term reukts
in unsatisfactory customer services and loss of customers in the long run process.
Analysis of Job and factors motivating the employees
There are five consultants supervising the lending function along with George and Mildred and also there is
the newly appointed financial planner. In addition to that, CCF&MB also has two admin staff members. The
motivation of the staff members is an important determinant which needs to be considered by the
management along with accountabilities for such employees. Some of the practices and policies which can
be followed by the business are:
 Setting up reward and recognition is an important factor which can motivate an employee of a
business and the same can also identify the great performers in a business. It could be in a way of
measuring and rewarding for the conversion rate of referrals, setting up monthly settlement
targets. Some reward program need to be implemented in CCF & MB.
 Performance appraisal is another area which the management of the company needs to consider
for motivating the employees of the business.
 The staff of the business needs to be developed regarding the business requirements and proper
coaching and mentoring plans need to be initiated by the management of the company.
 Promotion plans are also important motivators for employees and can ensure development of the
employees of the business.
Gathering information for Workplace Performance
In order to gather information for work performance, I would be needing information regarding the targets
which is set for the employees of the business. The primary step which I need to consider is to identify each
step of the plan for accumulating information. I also need to collect information regarding the personal
goals of the employees. The information can be collected from the supervisor of the employees regarding
the targets of the employees. In addition to this, the performance of the employees can also be measured
from the mails and memos which is received from the supervisor of the employee. This would ensure that
the business is able to track the performance of the employees. I would be keeping a tab on employees on
the basis of which information is to be collected. Another source for information is feedback from
customers or client. The feedback from the clients and customers are important source for understanding
whether the employee is performing and whether the employee is adhering to the goals which is set by the
organization.
Benefits of Monitoring and Supervision
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The employees of the business are considered to be the backbone of the business and therefore it is very
important that their performance is appreciated. If we show them appreciation, it makes them feel
important and a part of organization which would motivate them. Similarly, employees who are
underperforming or not achieving targets can be reviewed as well for ensuring that they can perform well.
This can be achieved by effective evaluation, monitoring of the employees. The benefits which can be listed
for monitoring the activities of the business are listed below in details:
 The management can measure the performance of the employees on the basis of the review which
is collected from the supervisors and accordingly appraise or reward them for performance.
 Proper monitoring also reveals faults of the employees and this would allow the management to
rectify the same over time and in long run reduce costs which are associated with such mistakes.
 Helps the management in reducing employee turnover by offering them better pay, promotion
appraisal for their performance.
 Helps in planning process and also decision-making area of the business.
 Proper evaluation of employee shows that the management is investing time and resources in the
employee and this breeds loyalty towards the company and ensure retention of employees.
Improvement of Policies
The main development for businesses is to efficiently identify the area of weaknesses for the business and
formulate corrective actions for the business. I am of the opinion that an efficient appraisal system would
benefit the business greatly. Proper monitoring and proposed appraisal system will be linked to
promotions, remuneration and bonuses. This would help the business greatly in managing the operations
of the business.
The main policy change is to introduction of an Appraisal System to review how an individual performed.
This appraisal system would then be linked with the development plan, promotion system for the
employees of the business. This process needs to be followed by the management of CCF&MB in order to
ensure that activities of the business are proper and as per the requirement of the business. A chart
regarding the appraisal system which should be followed by the business is presented below:
Source: Appraisal-smart.com. (2019). Performance Appraisal Software, Employee Performance Appraisal
Systems, Web Based Online. [online] Available at: https://www.appraisal-smart.com/performance-
appraisal-software.htm [Accessed 2 Apr. 2019].
The above chart shows the different steps which is the management needs to consider for formulating a
Page 28 of 35

proper appraisal system for the business.
Documentation of the Process
Proper documentation of the management performance process is important as it would appropriately
record formal and informal processes of the business. A well document process would help me in
identifying the plans related to different departments and also get an idea of employee and management
expectations. From the point of view of management, it is important to keep a record of all the significant
occurrence as a file note, it could be positive or negative. A well-documented performance system would
also come in handy in appraisal system.
In addition to this, documentation of the performance management process can effectively help me in
follow ups and also assist in decision making process of a business. In addition to this, these can also be
used for measuring past performance with the present. Another advantage of a well-documented file note
is that the notes created comes in handy at the time of the appraisal of the employees of the business and
it can also help to avoid any legal charges which the business might face in future. A well-documented
record effectively allows the management to provide proof to the employees when they are terminated so
that the termination is justified.
Impact of Rewards and Recognition
The appreciation of a work is very important as it provides job satisfaction to the employees of the
business. The appreciation of employees work by the management will confirms their work is valued by the
management. These factors are helpful in retaining the employees of the business. In a business, rewards
can be given in monetary terms such as financial benefits such as money, bonus or non-financial benefits
such as leave to employees, holiday package which is free. The non-financial factors also include better
opportunity which can be given to an employee of a business.
Both the financial and non-financial consideration plays an important role in determining the rewards
which needs to be provided to the employees of the business. The non-financial ways which can be
adopted by the management of the company for providing more motivation to the employees of the
business is by providing more autonomy and allowing them to operate independently. One of the ways is to
provide them with more leave balances and authority towards a job. The financial ways which can be
adopted by the business includes increase in bonus, salary hike and other factors as well.
Performance Management Plan
The performance management plan which is to be included by the management of the business are given
below in details:
 Planning the activities: In my opinion the first step for the business should be to appropriately plan
the process which is to be undertaken by the management of the company. Every aspect of the
activity needs to be planned properly. The planning process for the business needs to be
appropriate as this the most important part of the performance management plan. The
management of CCF &MB needs to plan the product which would be provided to customers
judging the current market and provide appropriate loans to the customers.
 Setting Targets: The next step is to set targets for the employee which would be like a guide to
employees so that the plan of the management is properly implemented. The sales target of the
employee for mortgage to the customers would be set by the business also for the mortgages
which is to be converted which is considered to be at a average of 48 per year. On the basis of the
annual target appropriate targets would be set for employees. These targets are to be followed by
the employee in pursuance of the goals of the business.
 Monitoring: The management needs to monitor the targets which are set by the business and
ensure that all the activities are being undertaken considering the objectives and targets of the
business. The management of the company needs to provide special emphasis on the performance
of the employees of the business and ensure that they are meeting the goals and objectives of the
business. Management are required to complete performance appraisal every quarter and one at
Page 29 of 35

the end of the year.
 Assessment and Reward: Once the target is achieved the management needs to plan for rewards
and recognition for employees who have performed the best and met targets. The reward and
recognition criteria are considered to be an important step which the management of the company
need to undertake in order to ensure that the employees of the business are satisfied with the
activities of the business.
Consulting for Development of Performance Measurement Process
In order to get the Performance Measurement Process approved, the senior management, managing
directors and approval of the owners are to be taken by the business. I will first discuss the organisations
objectives with the owners of CCF&MB first to identify and review what need to be achieved. I need to
formulate a proper action plan and presentation for performance measurement of the employees and the
same needs to be approved by the senior management of the company. Then I would get the performance
measurement process approved from the managing director and consider his opinion as well. Then conduct
a team meeting and then individual consultation process because a performance management process is
an understanding between managing director and team members and other employees of the business. By
consulting individual team members, I can identify what support they required to develop skills and
knowledge. It is imperative that the team members understand what roles they need to perform and why
the same is important for the business. The team’s leaders are the people who can assist the most in
implementation of the plan which is formulated by me.
Appraisal Checklist
Employee's Name:
Appraiser Name:
Reviewer Name:
Department [Team]:
Goals Description Traits Weights
Sales in Peak Seasons
Ensuring the sales target are
met daily/weekly/monthly
and also over achieving the
target.
27%
<90%=1
90% - 97%=2
97% - 100%=3
100% - 125%=4
>125%=5
Sales in lean Seasons
Ensuring the sales target
target are met
daily/weekly/monthly and
also over achieving the target.
8%
<80%=1
80% - 87%=2
87% - 90%=3
90% - 115%=4
>115%=5
Quality of service
Ensuring the best standard
services given to the clients as
per the requirement. The
standard of the work
delivered has to be the best
across the industry.
5%
<80%=1
80% - 90%=2
90% - 95%=3
95% - 98%=4
>98%=5
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Review Rating
Ensuring our client are
satisfied with the product we
deliver. This would create an
image of our company and
the brand which would
further help in expansion.
10%
Less than
3.40=1
3.21-3.60=2
3.61-3.80=3
3.81-4=4
>4.1=5
Deadline for sale Ensuring the sales deadline is
not missed. 8%
<91%
91% - 945%
94% - 96%
96% - 98%=4
98% - 100%=5
Extra Initiative
Taking extra after giving the
sales target which would help
the team
10%
no initiative
taken=1
1 initiative
taken=2
1-2 initiative
taken and well
performed=3
2-3 initiative
taken and well
performed=4
More than 3
initiative taken
and well
performed=5
Communication Proper communication skills
of the employees 5%
<85%=1
85% - 90%=2
90% - 99%=3
99% - 100%=4
>100%=5
Supervisor’s Signature: _______________________________ Date: _____________________________
Employee’s Signature: _______________________________ Date: _____________________________
HR Manager’s Signature: _____________________________ Date: _____________________________
Martin is an employee who joined the company three years ago, was engaged in retail food business. As an
employee of CCF&MB, Martin already knows the expectations of business how he should perform his
duties. The case shows that Martin has missed his deadlines and has been continuing this problem from
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past and this has happened three times this month.
During the conversion I would be bringing out such topics in one by one manner and ensure that proper
time is given to Martin to respond to my questions. I would conduct the meeting and point out the
mistakes which have been happening with Martin over the past month. I would ask for reasons for the
deadline miss and also portray the impact of the same on overall target of the business. The consequences
of such actions would also be pointed out by me such as loss of reputation and losses to the company. I
would then go on to describe what the company is facing for such actions such as disputes, legal charges
and claims and highlight that the business would be willing to fight for the employees of the business but it
is imperative that Martian should bring about some improvements.
I would then let Martin speak regarding justification for the problems which have been taking place in the
company over the last month. I would actively listen to all his concerns and ensure that he is given an
appropriate time to justify himself and his actions. On the basis of the explanation, I would decide the next
course of action which needs to be taken by me. I should express support of myself and the management
to Martin in case the justification provided by Martin is appropriate and genuine and suggest an action
plan. An action plan includes, if Martin requires, more training and coaching, willing to Martin go through a
training process or the reason is a personal matter, allowing him to take some time off to sort the things
out. In case the justification provided by Martin is vague then I would require Martin’s commitment for any
future activities which the business will be conducting and provide a warning that such lapses would not be
tolerated without just causes. I would provide Martin with a chance and ask what the management can do
to provide any kind of assistance towards his work. It can be training, supervision or better work
environment.
At the end of the communication, I would be making a summary of the main points and ensure that the
communication process went well and I was able to sort out the situation. In addition to this, the summary
would be documented by me and one copy of the same would be kept in records for follow up process and
another copy would be sent to the supervisor under whom Martin is current operating. The summary
would also be containing suggestions from my end as to how the situation can be mended so that the
situation does not arise any more in future.
Assessor feedback for Task 5: Resubmission required?
I expect more analysis and detail.
Please carefully read the requirements of this Task as there are eleven
specific sub-Tasks requiring different levels of responses. To give you some
guide, it is expected that to adequately cover what is required the minimum
work count would be 2,700 words.
Yes
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Task 6 — Showing leadership in the workplace
Leadership is defined as the ability to influence others. This assessment task requires you to reflect on your
own ability to positively influence others in the workplace and the negative aspects of poor leadership.
1. Reflect on a situation where you have had a positive impact in the workplace. Please include in the
reflective writing the skills, decisions and/or behaviours you demonstrated that contributed to this
positive change and what the impact was for the team, clients and the organisation. (400 words)
2. Reflect on a situation which was or could have been damaging to the organisation. Please include the
behaviours, standards or values that were demonstrated and explain why they were detrimental.
(400 words)
3. In your role as the general manager of CCF & MB create your own personal performance plan.
You may use your own personal performance plan or alternatively you can use the example below.
In developing your personal performance plan, you should ensure that your personal KPIs reflect
CCF & MB’s goals and objectives and how you can help in building CCF & MB’s integrity and credibility.
What are my
development
objectives?
Priority What activities do I
need to undertake to
achieve my objectives?
What support/resources do
I need to achieve my
objectives
Target date
for achieving
my objectives
Actual date of
achieving my
objectives
Increase in
Market Share
Capture
large market
share in the
competitive
market
Proper marketing Plan,
Innovative products and
improved services,
Competitive position
analysis, defining target
markets, suitable pricing
and promotion
strategies
Adequate amount of capital
to invest in marketing and
promotional activities,
Advertising in social media
platforms, Adequate
numbers of marketing
personnel with creative idea.
15/01/2019 20/04/2019
Strengthening
Financial
Resources
Availability
of adequate
amount of
capital as
and when
required
Efficient use of
company’s resources,
focus on cash generation
and increasing assets
base of the company to
maintain a healthy
financial position
Good market knowledge
about future potentials of
the real estate and other
business, which will open
some opportunities for the
company and investors will
invest in the company with
the expectation of a good
future prospects.
20/01/2019 25/04/2019
Action Planning Strategy
formulation
Having identified the
objectives and goals of
the company, design
proper, realistic and
achievable business
strategies
Well-experienced and
knowledgeable
management personnel with
innovative ideas who will
help to develop business
strategies and action plans.
20/01/2019 05/02/2019
Review Date:
4. Feedback from colleagues, staff and management may be gathered informally and formally including
performance review feedback. Why is it important to analyse and interpret all feedback? (400 words)
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Student response to Task 6
Positive Impact of Leadership in Workplace.
Leadership is a quality which allows an individual to influence and motivate the employees of a business
and also helps the organization as a whole in growing and generating more revenue. I have experienced the
role of leadership myself in my previous workplace. I started working on part time basis in a restaurant
which provided meals and combo foods. The restaurant was not a big one but it never compromised on the
quality of food. I was quick to notice that the business had potential of becoming a big restaurant as we
always got positive reviews. I was placed behind the counters taking orders from the clients. Once in a
meeting, I suggested to the owner that we should make use of the online media and offer our customers
food which will be delivered to them at their home or offices. At first the employee and even the owner
was of the opinion that the business was not that big and this would only enhance the expenses of the
business. However, I still argued that it would help the business to make revenues and even cover its costs.
Therefore, the owner asked me to provide him a estimation of costs basically a cost benefit analysis of the
new proposal and if he is satisfied after that, the restaurant would proceed with the plan. I was a student of
accounts and therefore presenting a business plan was easier for me. I presented a proposal which was
formulated on the basis of the current market scenario. The plan pleased my boss and he provide me the
role of overseeing the changes which needed to be made and provided me the necessary funds. This is the
first time I was given a leadership role even though I was quite unexperienced. I approached a e-commerce
site development company and hired them to create a website and application for the restaurant which
then can be used by customers to make orders through website as well as application. Then I directed my
team to spread the word in social media or by using pamphlets or even with our loyal and daily customers.
I made a team for overlooking the online operations which comprised of six members and 5 delivery guys.
It was in a matter of weeks that the sales of the business rose tremendously. We were able to tap into new
markets and attract new customers. This was a tremendous improvement which I experienced and brought
about with my leadership skills.
Reflection regarding a Negative Situation
In my earlier days when I used to work for a restaurant business as a part time job. I was given a team to
manage an online operation. My role was to review and record the online orders and give confirmation to
the clients. There was one incident during the time which I think could have affected the business quite
adversely in overall estimate. As the online operations of the business started, the pressure for new order
started off to be tremendous. We started to get big orders and we also had to maintain a certain level of
delivery time. However, one of the factors which affected the business was that the quality of the food
products which was being offered was falling due to the additional sales pressure on the business.
Therefore, we started to receive complaints that the quality of the food was not what it used to be. In
addition to this, the delay time was also a factor. During such a time once we received a huge order for a
office occasion and naturally as the order was a huge one, all the workers focused on that particular order
in order to ensure that level of quality was maintained on the same. Due to this, the food which was being
offered to the customer who came to the restaurant was not good and this resulted in the fall of review
ratings and we also received negative reviews from more than one customer. I had suggested the review
system which would be online as positive review would attract more customers to the business. However,
the negative review affected the business and we experienced a fall in the daily sales of the business which
affected the total revenue.
In this case, I noted that the employee standard was falling as they were focusing on quantity of sales made
rather than quality of the food products. The business was forgetting its main USP which was quality and
this affected the sales of the business. The owner called a meeting and I pointed out what I noticed and on
the basis of the same decision was taken that the restaurant would only accept that much order as much it
was capable to provide with quality. The decision was also taken that the customers who are coming to the
restaurant would be given more preference and appropriate services.
To be a good leader and to influence the subordinates, leaders must accept the feedbacks from their
subordinates. Respect from both the sides is important in successful leadership. To gain respect and make a
coordinating relationship with his people, a leader must respect his subordinates. In any organisation,
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workers or staffs sometimes may get frustrated with the improper behaviour of the management. In such a
situation, the best action by a good leader would be to write a note to the management and let the
manager know about the problems faced by the people of the organization. If the leader fails to do this,
then conflicts may arise between the management and the staffs. A good leader must always be available
to his people and coordinate them to achieve their respective objectives, and all these are important for
achieving overall organisational goals.
Assessor feedback for Task 6: Resubmission required?
You did enough for parts 3 and 4 of this Task. However, parts 1 and 2 are all
about your personal experience, requiring you to reflect on our own working
experience. It might be reflecting on where you work now or part-time jobs
you had as a teenager, etc.
So I am not looking for what has worked for you and situation or thing that
you have seen that do not work or work out.
Now read the requirements of parts 1 and 2 and resubmit.
Yes
Assessor feedback:
Fair work for the first attempt and to finalise this assignment, please review the feedback for Tasks 3, 5 & 6
and then resubmit for further assessment.
You might also like to review the feedback for Tasks 1, 2 and 4 as well but you do not have to resubmit
these Tasks.
Date assessed: 26/03/2019
Does the student need to resubmit? Yes
Questions that need to be resubmitted 3, 5 & 6
First submission Not yet demonstrated
Resubmission Not applicable
To pass this subject, you will need to be assessed as DEMONSTRATED for either your first submission or
your resubmission.
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